At launch the 360 was on par graphically with contemporary high-end GPUs, you’re right. By even the midpoint of its seven year lifespan, though, it was getting outclassed by midrange PC hardware. You’ve got to factor in the insanely long refresh cycles of consoles starting with the six and seventh generations of consoles when you talk about processing power. Sony and Microsoft have tried to fix this with mid-cycle refresh consoles, but I think this has honestly hurt more than helped since it breaks the basic promise of console gaming – that you buy the hardware and you’re promised a consistent experience with it for the whole lifecycle. Making multiple performance targets for developers to aim for complicates development and takes away from the consumer appeal